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Added R2bn boost for 2010 World Cup

By unknown | Feb 21, 2008 | COMMENTS [ 0 ]



The government has dedicated an additional R2billion this year to fund preparations for the 2010 Soccer World Cup, but surrounding infrastructure will be boosted even more.

The national Treasury boosted public transport infrastructure funding with R11billion over the next three years.

The increase was marginal considering that it increased its 2010 spend by R13,3billion last year.

Feroz Basa, portfolio manager at Old Mutual Investment Group, said: "They really needed to increase funding, as contract and material costs were escalating through the year.

"Besides, the 2010 organising committee seems to be on track with its construction of stadiums."

Finance Minister Trevor Manuel said the government would boost infrastructure spending further. Transport and communication would receive R71,3billion this year with water and agriculture receiving R31,4billion.

The departments of housing, provincial and local government, water affairs, sport and recreation were given an additional R17billion over the next three years. "The R6,5billion added to the local government budget share extends resources available for free basic services to poor households," Manuel added.

In preparation for the World Cup, Manuel said the government was "intensifying its fight against crime". It had earmarked R95,3 billion for protection services.


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